A bond issue and share offering is likely to net JinkoSolar more than US$200 million.
The company plans a US$100 million bond issue of convertible notes due in 2019 with the possibility of an additional US$15 million over-allotment option.
It will also be offering 2,750,000 American Depositary Shares.
JinkoSolar shares were pre-trading at US$36.25, up almost 10% on the previous day’s closing price of US$33.14. That values the share issue at US$99.7 million before fees.
The company said the proceeds could potentially be used for PV power plant development or for the expansion of its manufacturing capacity. It also noted that it presently did not have sufficient funds to meet obligations from bonds that mature on 14 May 2014.
“Sufficient funds may not be available, accordingly, we may need to reduce discretionary spending and arise additional funds through public or private equity or debt financing,” the company said in an SEC filing.
Jinko recently added 500MW of capacity with the acquisition of the struggling Topoint Group.
Earlier this week the company said it was exploring possible options to spin-out its project development business. The company said this could happen through merger and acquisition or an IPO and gave no details on a timeline for the changes.